1. Market Research
  2. > Financial Services
  3. > Banking
  4. > Payments Market Trends
  5. > Credit Card

The Market of Credit Cards: Industry Reports and Statistics

  • Currently 5/5 Stars.
  • 1
  • 2
  • 3
  • 4
  • 5
2 votes

The Global Credit Card Industry

A credit card is a payment card issued by a financial company. It gives the holder an option to borrow funds, usually at point of sale. Credit cards charge interest and are primarily used for short-term financing.

Sales through leading credit cards across the world are worth over US$ 7.5tn. Visa and MasterCard together hold the dominant share of over 85% of global card purchase transactions; players such as UnionPay, American Express, JCB and Diners hold the remainder.

As credit card loans are more profitable business for banks than other segments, they give high priority to attracting and retaining new cardholders. Loyalty points and discount coupons are offered to entice customers to increase their card usage. Market giants are also taking steps to capitalize on the growing mobile payment sector, which is expected to grow rapidly, according to Gartner.

Key market segments

The different types of credit cards include: general purpose, reward, private label, secured and specialty cards.

General purpose credit cards have revolving credit lines and are marketed to people above the age of 18 who meet the financial institution's minimum credit criteria. No deposits are needed for a general purpose credit card and the issuer establishes the credit limit. Within the U.S., the largest market for this kind of product, VISAs are the most popular general purpose cards, followed by American Express and MasterCard.

A rewards card offers an opportunity to earn different types of rewards based on usage. The different subtypes of reward cards include frequent flier miles cards, cash back cards, points cards, and premium credit cards. Banks are increasingly using loyalty programs as a tool for retaining customers. Loyalty reward cards are a $50bn+ industry in the U.S.A.

Private label credit cards are branded for a specific retail establishment, manufacturer or special interest. After experiencing a decline due to the economic recession from 2008 to 2010, this segment resumed growth. The total of private-label credit card loans in the U.S.A. is estimated to be over $100bn. Citi Retail Services, GE Capital Retail Bank, Capital One Financial Corp., Alliance Data Systems, TD Bank, Wells Fargo & Co. and JPMorgan Chase are the major issuers of private label credit cards.

Secured credit cards are backed by a savings account used as collateral on the credit available with the card, while specialty cards typically are offered through affiliations, partnerships, major brand retailers or service providers.

Regional market shares

The U.S is the largest market for credit cards, followed by Europe and then Asia.

In the U.S, credit cards generate revenues of over US$2.5 trillion, which is more than debit and prepaid cards. Top players in the industry include, JPMorgan Chase, Bank of America, Citigroup, U.S. Bancorp, American Express, Discover and Capital One.

Within Europe, the UK accounts for around 70% of all card holders. At £150bn a year, the UK credit card market has over 30 million customers. The market in the UK is fragmented, with Barclays (Visa) and Royal Bank of Scotland accounting for about 25% of the market.

Cash transactions dominate in Asian countries. Cards account for less than 20% of payments. Credit card usage in Asia Pacific is, however, expected to increase to more than Europe’s.

The Middle East and Africa region remains one of the smallest card markets globally. However, non-cash payment, especially through credit cards, is growing rapidly owing to the strengthening banking industry. Within this region Saudi Arabia and the United Arab Emirates are the largest and fastest-growing markets.

Read more »

Share

You might be interested in these related markets:

24/7 Customer Support

Talk to Sam

+1 718 473 0872

1-10 of about 1000 reports

The future of the Credit Card Industry in the US

  • January 2017
    5 pages
  • Credit Card  

  • United States  

View report >

Credit Card Markets in the UK and Europe - Forecast

  • November 2015
    117 pages
  • Credit Card  

  • United Kingdom  

    Europe  

View report >

Credit Card Markets in the UK

  • July 2016
    70 pages
  • Credit Card  

  • United Kingdom  

    United States  

View report >

Credit Card Markets in Canada

  • March 2015
    13 pages
  • Credit Card  

  • Canada  

View report >

Credit Card Industry in the US and China

  • September 2016
    6 pages
  • Credit Card  

  • United States  

    China  

View report >

Credit Card Industry in Israel, Weekly Update

  • February 2017
    5 pages
  • Credit Card  

    Credit Card  

  • Israel  

View report >

Credit Card Industry in Israel, Weekly Update

  • January 2017
    5 pages
  • Credit Card  

  • Israel  

    Asia  

View report >

Credit Card Industry in Israel, Weekly Update

  • January 2017
    5 pages
  • Credit Card  

  • Israel  

    Asia  

View report >

Credit Card Industry in Israel, Weekly Update

  • November 2016
    5 pages
  • Credit Card  

  • Israel  

View report >

Credit Card Industry in Israel, Weekly Update

  • November 2016
    5 pages
  • Credit Card  

  • Israel  

    Asia  

View report >

Search in Credit Card Industry (About 1000 reports)
Parent industry: Payments
Related industries: Payment Processing

About 400 reports

Purchase Reports From Reputable Market Research Publishers
(From $ 125 - $ 3450)

Consumer Payments Country Snapshot: China 2016

Consumer Payments Country Snapshot: China 2016

  • $ 3450
  • Industry report
  • December 2016
  • by Global Data

Summary China represents a mature payment card market in Asia, with over 5 billion payment cards in issue. Despite a high card-per-customer ratio China is expected to see mild growth in both card numbers ...

Consumer Payments Country Snapshot: New Zealand 2016

December 2016 $ 3450

Financial Cards And Payments In Mexico

January 2017 $ 1910

Credit Cards In Mexico

January 2017 $ 912

Credit Cards In Poland

December 2016 $ 912

Alliance Data Systems Corporation - Strategy, Swot And ...

December 2016 $ 175

Bgz Bnp Paribas Sa In Consumer Finance (poland)

December 2016 $ 131

Jcb Co., Ltd. : Company Profile And Swot Analysis, Time ...

January 2017 $ 125

Credit Cards In Australia

November 2016 $ 912

Credit Cards In Malaysia

November 2016 $ 912

Reportlinker.com © Copyright 2017. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.